Order of payments to credit card

jbmadd

Does anyone know where I can find the rules (legislation?) on the order of payments to credit cards?

Thanks

Consumerist

jbmadd wrote: »

Does anyone know where I can find the rules (legislation?) on the order of payments to credit cards?

I assume you're asking about the order in which your payments into the card account are applied to the various types of credit (e.g. cash advances, purchases, etc.).

This information is usually incorprated into the cards Ts&Cs. Generally, payments are applied first to that part of the balance which attracts the highest interest rate and then progressively to the lower rates.

grumbler

Usually there is no need to struggle with the small print in the T&C as the main information is available in the summary box, e.g. Read summary box

YorkshireBoy

jbmadd wrote: »

Does anyone know where I can find the rules (legislation?) on the order of payments to credit cards?

There is no "legislation". The changes (including 'positive payment hierarchy') came about following a deal struck between the last Labour Government and the UK credit card industry, and were implemented in January 2011 (although some lenders, eg MBNA, went 'live' earlier than this).

Some bedtime reading for you...

http://www.theukcardsassociation.org.uk/wm_documents/credit_and_store_cards_review_-_the_uk_cards_association.pdf